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06.12.2021
Scenario guides - Scenario 14C1 guide
In scenario 14C1, you are presented with a young and dynamic company with large production capacity (11 machines, 26 assemblers), limited free cash (447 182) and high profit (241 755). Market share occupied by your company and competitors is high (EU - 43%, Nafta - 60%, Internet - 73%), but it can be increased by 1.5 times due to expansion into free niches in sales market. Key parameters of the company and market situation:
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06.12.2021
Scenario guides - Scenario 16C1 guide
Before reading, we recommend that you read the overview of the game according to 16C1 scenario from the international final in the 2016 season.
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05.12.2021
Scenario guides - Scenario 17C1 guide
Before reading, we recommend that you read the overview of the game according to 17C1 scenario from the international final in the 2017 season, 2019 season and 2020 season.
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05.12.2021
Scenario guides - Scenario 18C1 guide
In scenario 18C1, you are presented with a large company with large production capacity (11 machines, 42 assembly workers), limited available cash (450 000) and overdraft (948 453), which balances on the brink of profitability (-22 306). Market share occupied by your company and competitors is close to the maximum achievable (EU - 61%, Nafta - 59%, Internet - 75%) and cannot be seriously increased by expanding into free niches in the sales market. Increase in product sales can be achieved mainly due to the mistakes of competitors and natural growth of the market. Key parameters of the company and market situation:
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14.07.2019
Goodwill - Investment return
Factor "Investment return" is 1 out of 8 factors that GMC simulator uses to calculate the company's Goodwill value. Below are presented parameters from decision and management report that are most correlated with Goodwill factor "Investment return" when calculating the company's Goodwill value. Parameters include direct and inverse correlation:
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14.07.2019
Goodwill - Resources
Factor “Resources” is 1 out of 8 factors that GMC simulator uses to calculate the company's goodwill value. Below are presented parameters from decision and management report that are most correlated with goodwill factor “Resources” when calculating the company's goodwill value. Parameters include direct and inverse correlation:
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13.07.2019
Goodwill - Agents and Distributors
Factor “Agents and Distributors” is 1 out of 8 factors that GMC simulator uses to calculate the company's Goodwill value. Below are presented parameters from decision and management report that are most correlated with Goodwill factor “Agents and Distributors” when calculating company's Goodwill value. Parameters include direct and inverse correlation:
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09.07.2019
Goodwill - Backlog
Factor “Backlog” is 1 out of 8 factors that GMC simulator uses to calculate the company's Goodwill value. Below are presented parameters from decision and management report that are most correlated with Goodwill factor “Backlog” when calculating the company's Goodwill value. Parameters include direct and inverse correlation:
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09.07.2019
Goodwill - Market share
Factor “Market share” is 1 out of 8 factors that GMC simulator uses to calculate the company's Goodwill value. Below are presented parameters from decision and management report that are most correlated with Goodwill factor “Market share” when calculating the company's Goodwill value. Parameters include direct and inverse correlation:
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09.07.2019
Goodwill - Research & Development
Factor “R&D” is 1 out of 8 factors that GMC simulator uses to calculate the company's Goodwill value. Below are presented parameters from decision and management report that are most correlated with Goodwill factor “R&D” when calculating the company's Goodwill value. Parameters include direct and inverse correlation:
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09.07.2019
Goodwill - How to test goodwill factors
In previous article, we discussed factors of the Goodwill and how is it calculated. Managing Goodwill is one of the most important skills in GMC, no less important than demand forecasting or choosing the optimal strategy. Goodwill is cunning. In the history of the championships there were a lot of games where the team with lower Net assets won the game due to higher Goodwill and as a result of Investment performance.
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08.07.2019
Goodwill - Dividends
Factor “Dividends” is 1 out of 8 factors that GMC simulator uses to calculate the company's Goodwill value. Below are presented parameters from decision and management report that are most correlated with Goodwill factor “Dividends” when calculating the company's Goodwill value. Parameters include direct and inverse correlation:
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08.07.2019
Goodwill - Liquidity
Factor “Liquidity” is 1 out of 8 factors that GMC simulator uses to calculate the company's Goodwill value. Below are presented parameters from decision and management report that are most correlated with Goodwill factor “Liquidity” when calculating the company's Goodwill value. Parameters include direct and inverse correlation:
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06.06.2019
Scenario guides - Scenario 15C1 guide
Before reading, we recommend that you read the overview of the game according to 15C1 scenario from the international final in 2015 season and 2018 season.
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01.12.2018
Bonus - Alternative scenario versions
List of all scenario versions:
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27.11.2018
Calculation model v2 (pro version) - Preparing calculation model for 2 period
In previous topic, we discussed how to prepare calculation model for 1 period. In this topic, we will look what to do with received management report and how to prepare decision for 2 period. To prepare calculation model, perform the following actions according to the check list.
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23.11.2018
Calculation model v2 (pro version) - Preparing calculation model for 1 period
For configuration calculation model v2 (pro version) to play in new round of global management challenge, you need to go through the check list below and make sure that all preparation points are completed.
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21.11.2018
Calculation model v2 (pro version) - Production plan block
Let’s look at the production planning block (highlighted in red). This block is used for calculation of the required volume of production, taking into account demand forecast, stock balances, rejected percentage, management decisions and other factors. As a result, model makes a shipping plan for each market and product “Production plan”. In general, calculation chain is as follows:
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21.11.2018
Calculation model v2 (pro version) - Demand forecast block
Let’s look at block of demand forecast (highlighted in red). This block is used to estimate the change in demand between previous and next period. Total value of change in demand is calculated in the “Total demand” table for each market and product, for example +10%.
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22.08.2018
Game mechanics - Assembly workers recruiting
Starting from scenario 15C1 (also rightly for next scenarios 16C1, 17C1, etc), developers of GMC simulator added new feature with increased competition in the labor market of assembly workers. In earlier scenarios 12C1-14C3 labor market of assembly workers almost always allowed to recruit the exact number of staff specified in the decision, now it is possible to recruit 100% of the specified number only with comparative weak competition between companies in the group. The "capacity" of the labor market decreased by 2 and workers are not enough for everyone. Particularly brightly the shortage of labor market appears in the final stages of the championship, which rises intense competition between the teams even more.
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04.02.2018
Calculation model v2 (pro version) - Sheet Configuration
Sheet Config contains the service information for correct operation of the calculation model. Due to the fact that all scenarios in Global Management Challenge are unique in their own right, it makes it necessary to customize calculation model for a specific one, otherwise the error in forecasting demand increases. Also R & D, agents and distributors recruitment, etc. can be incorrect.
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04.02.2018
Calculation model v2 (pro version) - Sheet Strategy
Sheet Strategy allows you to make a complete simulation of 5 periods at the same time. Sheet is divided into 5 parts, each of which completely copies sheets decision calculation 1, 2, 3, 4, 5.
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04.02.2018
Calculation model v2 (pro version) - Sheet Goodwill
Sheet Goodwill contains information about factors that affect goodwill and investment performance. Decisions that positively affect goodwill and investment performance are highlighted in green, and affect negatively - in red. Such simple analysis allows you to quickly understand the tactics of making decisions to get maximum investment performance and beat less skillful opponents. Also this sheet helps to calculate optimal plan for paying dividends and issuing shares of the company.
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04.02.2018
Calculation model v2 (pro version) - Sheet Language
Calculation model v2 (pro version) is easy to translate into your native language. All names and titles are placed on sheet Language. You can download language translation settings in store for free or translate it yourself. To translate calculation model, just simply replace information on sheet Language.
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03.02.2018
Calculation model v2 (pro version) - Sheets 1, 2, 3, 4, 5
Worksheets 1, 2, 3, 4, 5 are the main tools for making decisions. Worksheets contains information, which is grouped into several functional blocks as you can see in the screenshots below. Management decision form preparation contains a lot of tips about certain cells. For your convenience, data i cells is highlighted in red, if the decision parameters are incorrect or not optimal.
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03.02.2018
Calculation model v2 (pro version) - Sheets D1, D2, D3, D4, D5
Sheets D1, D2, D3, D4, D5 display information about decision for the period. Format of the sheet completely repeats the input form and does not contain unnecessary information in order not to distract from data input.
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03.02.2018
Calculation model v2 (pro version) - Sheet Finance
Finance sheet allows you to quickly analyze current situation in the group and evaluate actions of your competitors. If you purchased information about market shares, then model will additionally calculate sales revenue, total costs and profit for each company. Besides basic financial indicators, Finance sheet also present number of recruited assembly workers, which allows to evaluate production capacity of competitors. This option is especially useful for scenarios 15C1, 16C1, 17C1 and new, where the labor market is small and a fierce struggle unfolds for each assembly worker.
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02.02.2018
Calculation model v2 (pro version) - Sheet History
History sheet contains all necessary information about the most important parameters of the company for 5 periods of the history and 5 periods of taking decisions. Information is grouped into several blocks.
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18.05.2017
Scenario guides - General guide for all scenarios
All Global Management Challenge scenarios are unique and they have accumulated several dozen for long history of the championship. However, there are some universal tips that you can follow safely in any scenario while making company's strategy for upcoming game. Based on the cumulative experience of our experts, this topic provides general strategy tips for Global Management Challenge.
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05.05.2017
Demand factor - Agents and distributors support
Regarding EU and Nafta markets, support is not affected on demand at all. Influence on demand has only change in support of Internet agent.
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05.05.2017
Demand factor - Agents and distributors number
In this topic, we will analyze the dependence of demand on changes in the number of agents and distributors. The effect on demand from a change in the number of agents occurs only in the next period.
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04.05.2017
Demand factor - Agents and distributors commission
Let's see how demand is changing with the change of the commission agents and distributors.
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31.03.2017
Demand factors
Guide for external and internal demand factors in the Global Management Challenge simulator and their influence on demand.
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30.01.2017
Calculation model v2 (pro version) - Introduction
Calculation model v2 (pro version) consists of several functional blocks. These blocks include:
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28.01.2017
Demand factor - Backlog of orders
In the case when demand exceeds supply, then some of the orders of buyers remain unfulfilled (backlog).
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27.01.2017
Demand factor - Seasonality
Demand for your company's products is highly seasonal. Seasonal demand is different for each market (EU, Nafta, Internet), but the same for all products (1, 2, 3) in particular market. For example, if seasonal demand in EU market is +5%, it means that demand for each type of product in EU market increases by +5%.
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27.01.2017
Game mechanics - Research and development
Research and development in design and technology is important way to be competitive. Each quarter, therefore, you should decide how much to spend on Research and development for each of your products.
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09.05.2015
Bonus - Cooperative strategies - International Final examples
Earlier we discussed different types of cooperation strategies, operations and variants of their application. But all of that was just theory, and now we will how cooperative strategies work in close combat in International Final.
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21.04.2015
Scenario guides - Scenario 14C3 guide
Before reading, we recommend that you read the overview of the game according to 14C3 scenario from the international final in 2014 season.
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16.04.2015
Bonus - Cooperative strategies
Cooperative strategies were especially great developed in championships with free participation. Free participation allows to register unlimited number of teams (within reason) and apply cooperative strategy with maximum efficiency. GMC simulator is designed in such way, that competitors decision in the group make impact on market share of your company. So, essence of cooperation is to provide benefits to teams that plays together, over other rivals in the group.
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10.04.2015
Bonus - International Final
Brief about International Final and what to do, if you do not want to fail.
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03.04.2015
Demand factor - Research and development
To estimate impact of R&D on market, it is necessary to calculate quality of products before and after R&D implementation. Quality of products is measured in units from 60, as described in topic product quality estimate. When you get MINOR, it is immediately implemented in production in current period (+6 units). Effect on demand from implementing MINOR and getting MAJOR is equal (+6 units). Effect on demand from implementing MAJOR is +20 units.
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17.02.2015
Demand factor - Prices
Prices - one of the easiest ways to regulate sales of products. Price changes do not have big residual effect on sales. After returning to the original value of the price, sales restore to its original level (other things being equal).
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06.02.2015
Game mechanics - Dividends
Normally, when anybody asked about dividend, the question sounds like - "How many dividends I need to pay in current period?". But this is an incorrect question, because it is important not only - how much to pay, but also - how to pay.
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29.01.2015
Demand factor - Training
Training - one of new features in GMC simulator. it is very similar to management budget and affects same productional and financial performance of the company, but less powerfull:
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23.01.2015
Goodwill - Goodwill factors
Lets remember how to calculate Investment perfomance (IP):
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21.01.2015
Bonus - Management reports mining
Each player of Global Management Challenge championship, while getting new knowledges, has one main problem - searching new data for analysis. Main data-source is management report, the more, the better - more opportunities for team to analyze and develop the best strategies. If we know the fact that each round every team make decision with 75 different combinations and each of them has unique impact on the result, then we should have really a lot management reports - hundreds and thousands to make representative analysis. If you play in GMC by all rules, then you will collect, for example 100 reports at least 5 years - 1 championship a year, 4 rounds in the championship, 5 management reports in the round (of cause if you wil not lose in 1 round). During this time, your competitors (which are less legible) will go far away and will be invincible for you. Therefore, search and analysis of new and new management reports - basis of successful performance in the championship.
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17.01.2015
Game mechanics - Investment perfomance
What is it - Investment perfomance? Lets check how manage and maximize it.
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05.01.2015
Demand factor - Assembly time
Assembly time is one of the most underrated factors. A common optimum of assembly time for products is 110% - 120%, but the real optimum of assembly time can greatly go beyond this range, as it depends on several factors:
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27.12.2014
Demand factor - High quality raw materials
High quality raw materials (HQRM) - one of the key elements GMC simulator, which must be applied properly. HQRM influence on sales in the current period, there is no residual effect. The residual effect is possible only when the product is not implemented with HQRM and lay in stock. So it will affect on sales in future periods until it will be completely sold from warehouse.
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16.12.2014
Game mechanics - Demand elasticity
We have already understood How to test demand factors, now lets look at basic principles of market mechanic in the GMC simulator. Experienced players know that impact of demand factors to increase sales of their products is very different between groups with weak and strong competitors. In first rounds of the championship experienced teams have not got worthy opponents in the group and sales go up the hill. But in semifinal weak teams eliminated and teams begin a persistent struggle for the leadership. In this case, if we make the same decisions as in first rounds, sales will grow less. That is because elasticity of the demand factors decreased, competition in the group became stronger. Why it happens and how to forecast sales in future periods?
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14.12.2014
Demand factor - Website development
Website rating by analogy with product quality estimation is also estimated not by fixed number of stars (1, 2, 3, 4, 5), but numerically. But in contrast to the product quality estimation, sheet “W” with original data for management report does not contain such information.
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12.12.2014
Demand factor - Ports
As sales in Internet increase, so does the number of visitors that come to the website. If the number of Internet ports is not enough to process all visits, then some visitors will not be able to place an order. The percentage of visitors who were unable to access the website is directly proportional to the number of unregistered orders in Internet in current period. It is important to minimize the percentage of visitors who could not enter the website (failure rate) - as this is a reserve for increasing sales. For example, if the failure rate was 3%, but became 1%, then sales in Internet will additionally grow by: 3 - 1 = 2%
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08.12.2014
Game mechanics - Product quality estimate
In new version of GMC simulator appeared important innovation in management reports - sheet "W", which stores data for formation of the remaining sheets (useful in calculation model development). However, if you parse each row in sheet "W", then you will see, that part of rows remains unused data in lines - 102, 103, 104, 105, 106, 107. For example:
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02.12.2014
Demand factor - Direct advertising
Impact of direct advertising on market is different from corporate advertising. It has less cumulative effect, but affect acts immediately in the current period. Impact of direct advertising on sales does not depend on the type of product or market, the dependence is identical for all cells of the matrix of demand (3x3).
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27.11.2014
How to test demand factors
If you want to win in Global Management Challenge, you need to know not only exclusive tips and hints, but also you must correctly forecast sales for each product. This topic describes basic method of testing demand factors.
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21.11.2014
Demand factor - Corporate advertising
Corporate advertising effects on market very long period of time, but does not effect on sales immediately. Also, corporate advertising has a strong cumulative effect, so the strategy of investments should be planned for all 5 periods. Effect on sales is different for each market. The greatest effect will be in the Internet. EU and Nafta have the same effect, but is less than in the Internet.
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11.11.2014
Demand factor - Management budget
Management budget is used to increase production efficiency. Management budget has the strongest effect on:
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24.10.2014
Game mechanics - Maintenance map
Maintenance (MT) is not the most expensive part in company budget, but can save a couple thousand with proper planning. To do this, you need to invest in maintenance as much - as you really need and no more.
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23.10.2014
Game mechanics - Agents and distributors recruitment map
Choosing the best plan for agents and distributors recruitment becomes very easy when you analyze the main factors that affect it. The exact number of agents available in the next period depends on several factors:
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17.10.2014
Game mechanics - Insurance plan
When you choose insurance plan for the current period, it is important to understand that the best choice can be only between two options - insurance plan 4 or 0. Insurance plans 1, 2 and 3 are less favorable than 4.